Double-Digit Growth of US Store Brands Continues: PLMA

Store brand sales are continuing to drive double-digit growth.

 

Per the Q1 results which reflect the first three months of 2023, store brands picked up where they left off in 2022, with double-digit sales increases and greater market share in both dollars and units, according to nationwide data provided exclusively to PLMA by Circana. The figures include 2023 food and non-food sales in all outlets as of March 26.

 

“The Q1 results are particularly impressive since they are compared to 2022 sales figures, which were historically high for US store brands,” said PLMA President Peggy Davies. 

Store brands continue to far outperform national brands in sales. Across all US grocery channels, store brand dollar volume jumped 10.3%, nearly twice the gain of national brands (which grew 5.6%), compared to the same three-month period a year ago.  

 

Store brand market shares jumped higher. Dollar share rose to 19.1% and unit share advanced to 20.8%, versus Q1 of last year when the numbers were 18.5% for dollars and 20.3% for units. 

 

Store brands fared significantly better than national brands in unit sales, as well. Like last year, all brands shed units. In 2022, store brand units decreased far less than those of national brands. During Q1 of 2023, they were off 1% versus -3.9% for national brands, about one-fourth the decline. 

 

This disparity in unit sales can be attributed to consumers switching to store brands from national brands. It was even more pronounced in March, when store brands were down only 0.7% compared to national brands, which were off five times that figure at 3.5%. 

 

Among the 17 food and non-food departments Circana tracks for PLMA, 15 saw increased store brand dollar sales during the first quarter, with beauty experiencing +7.4% and health +4.3%.